I sent a letter to US Bank attempting to settle my debt for 60% of the original balance. According to the literature on this site I am not supposed to agree to anything over the phone and ensure that all of the information is dealt with via mail. Now perhaps I made a mistake because a representative from US Bank contacted me about the letter and I called her back for some clarification.
Now she says I have to make a payment in order for my letter to be sent to the settlement department. I'm not certain that is correct so some advice would be greatly appreciated.
By signing up for counseling session, your provided details (Name, Email ID and Phone No.) will be forwarded to the company advertising on the DebtCC. However, you have no obligation to use their services.
Some creditors and collection agencies refuse to lower the pay off amount, interest rate, and fees owed by the consumer.
Creditors/collection agencies can make collection calls and file lawsuits against the consumers represented by the debt relief companies.
Debt relief services may have a negative impact on the consumer's creditworthiness and his overall debt amount may increase due to the accumulation of extra fees.
The amount which the consumer saves with the use of debt relief services can be regarded as taxable income.